Project profitability and job costing

Job costing is the process of tracking all the costs related to a job or project to determine its profitability.

Keeping track of all costs and expenses can be a labor-intensive, time-consuming process. Forget spending hours number crunching and deciphering job costing formulas. With job costing in QuickBooks, we connect the dots by tracking labor costs, time, and expenses. The clear profitability reports help you understand which projects make money and where you should focus your efforts.

Job costing also helps you estimate your future projects with confidence when you can see how past projects went. Job costing insights can help you control costs, maximize profitability, and price confidently.

QuickBooks Online Plus and QuickBooks Online Advanced include job costing. Turn on projects within QuickBooks Online to access the job costing profitability reports.

Job costing is specific to individual, specialized jobs while process costing applies to larger scale processes and standardized products. Process costing is typically used by companies that mass produce products that are identical.

An interior designer remodeling a house for a client would use job costing to track costs since each design project is different.

A cereal manufacturer would use process costing to determine the cost of each cereal box since ingredients, materials, and the end product are the same across the board.